Cryptosya

The developments in the cryptocurrency sector in recent weeks cause both the market value of the sector and the interest in this sector to increase.

Bitcoin, known as the ancestor of cryptocurrencies, started to be traded at only $0.01 when it was first produced in 2009, and after being noticed by the masses, its value reached the level of hundreds of dollars over the years.. In the last 1 year, due to the increase in the awareness of Bitcoin and the crypto money sector, the increasing supply-demand balance and its widespread use all over the world, exchange rates have caused a more stable, predictable and stable increase.

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Many people see Bitcoin as an investment tool and they are not wrong in their thoughts.. To explain this situation with an example, if you bought $1,000 Bitcoin 8 years ago, in 2009, even when 1Bitcoin was at $0.1, you would have exactly 10,000 Bitcoins in your BTC Wallet.. As of today, the equivalent of 10.000Btc in dollars is 18Million250Thousand$,that is 64Million750Thousand Turkish Liras.. There should be no other investment tool in the history of the world that made $ 18 million with an investment of $ 1000.. As there were many people who took advantage of this opportunity, there were also many people who could not foresee and could not use it.. Like young people who bought 2 pizzas with 10,000Btc years ago.

When we look at Bitcoin in general, it is possible to see it as an investment tool.. The number of people who earn serious income from the sector by buying at low rates and regularly buying and selling at high rates, that is, TRADE, is quite high.

Secondly, the number of people who see Bitcoin as a digital currency is also quite high. high.

Finally, the point of view of many countries is that Bitcoin is not accepted as a currency, but as a payment method that can be used in commerce.
Especially those who realize the benefits of blockchain technology countries, institutions and organizations are increasingly leaning towards the crypto money sector and making various agreements.. This increasing supply-demand causes more awareness of cryptocurrencies to increase and the value of digital currencies led by Bitcoin to increase.

As of today, Bitcoin broke a new record by rising to $1,826. has increased its market value to almost $30 billion. Following it, Ethereum has $7.7Bn market cap and $84 exchange rate. Bitcoin and Ethereum are followed by Ripple, which has recently made a name for itself especially with the agreements it has made with banks.. Its market cap is $6.3B and traded at $0.16.

All information is news based. Does not constitute investment advice / Crypto Money News

It was believed that there was no correlation between Bitcoin and traditional financial markets. For this reason, some investors were recommending that digital assets such as Bitcoin should also be given in portfolio formation.

Is there a correlation between Bitcoin and traditional financial markets?

In the past period, we have witnessed the appreciation of Bitcoin after the developments that negatively affected the financial markets and the real economy. For example, after the trade wars between the USA and China in 2019, the value of Bitcoin and cryptocurrencies increased. Similarly, Bitcoin continued to appreciate after the interest rate cuts of the FED and the European Central Bank in 2019.

Please See: Can Bitcoin recover after the sharp fall?

In the first days of 2020, there was a development that shocked the world agenda: US forces assassinated Iran’s top military personnel, and the rumors of the 3rd world war came to light. In this period, while Bitcoin gained value, there was a serious crisis in the global financial markets.

With the effect of the panic atmosphere after the Corona Virus Outbreak, there is a crisis in the global markets. According to current statistics, the virus has been detected in approximately 150 thousand people worldwide. About 5,500 people died as a result of the virus. With the effect of the crisis, serious decreases are experienced in real production. Hotel reservations are being canceled, commercial air traffic is about to stop, and there are serious decreases in foreign trade data. Developments in the real economy also have negative effects on global financial markets. FTSE, S&P500, Dow Jones, Nasdaq etc. There are visible breaks in the indexes. Unlike other periods, the prices of Bitcoin and cryptocurrencies are crashing along with traditional financial markets.

Please See: Edward Snowden: “I thought of buying Bitcoin for the first time”

Glenn Benavides, CEO of Global Crypto, and David Waslen, CEO of Hedge Trade, recently drew attention to a fateful partnership between Bitcoin and traditional markets. In short, a correlation has been observed between Bitcoin and traditional financial markets recently.

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